Apple Found Guilty of Conspiring to Fix Prices in E-Book Trial [Updated]
Reuters briefly reports that a U.S. federal judge has found Apple guilty of price fixing in the lawsuit brought by the U.S. Department of Justice and state governments.
A federal judge on Wednesday ruled that Apple Inc conspired to raise the retail prices of e-books, and said a trial for damages will follow.
The decision by U.S. District Judge Denise Cote in Manhattan is a victory for the U.S. government and various states, which the judge said are entitled to injunctive relief.
The government had argued that Apple served as a "ringmaster" in conspiring with publishers to raise prices of e-books as part of an effort to change the business model of the industry and weaken Amazon's dominant position in the market. All of the publishers ultimately settled the case, but Apple fought to the end, insisting that it could not admit to doing something it did not do.
A separate trial will need to be held in order to determine damages to be levied against Apple.
We've uploaded the full 160-page decision by Judge Denise Cote for those interested in reading more.
The question in this case has always been a narrow one: whether Apple participated in a price-fixing scheme in violation of this country’s antitrust laws. Apple is liable here for facilitating and encouraging the Publisher Defendants’ collective, illegal restraint of trade. Through their conspiracy they forced Amazon (and other resellers) to relinquish retail pricing authority and then they raised retail e-book prices. Those higher prices were not the result of regular market forces but of a scheme in which Apple was a full participant.
Update 7:13 AM: Unsurprisingly, Apple has announced that it will appeal the decision.
Apple spokesman Tom Neumayr says Apple didn't conspire to fix e-book pricing and would continue to fight the "false accusations." He says Apple brought much needed innovation and competition into the market in 2010.
Popular Stories
iOS 18.3 was released last month, so the first iOS 18.4 beta should be coming soon. iOS 18.4 is expected to be a more substantial update for the iPhone, with several new features and changes related to Apple Intelligence and beyond.
Apple's website suggests that iOS 18.4 will be released in April, following beta testing. Below, we outline what to expect from the update so far.
Apple...
Apple today announced the launch of a new app called "Invites," which is designed to allow users to plan events like birthday parties, graduations, vacations, baby showers, and more.
"With Apple Invites, an event comes to life from the moment the invitation is created, and users can share lasting memories even after they get together," said Brent Chiu-Watson, Apple's senior director of...
Apple does not approve of the "Hot Tub" pornography app that was released for the iPhone in the EU using alternative app distribution, Apple said in a statement to MacRumors. Further, Apple is concerned about the potential user safety risks with a pornography app, and says that it undermines consumer trust in the Apple ecosystem.
We are deeply concerned about the safety risks that hardcore...
If you pay for iCloud storage on your iPhone, Apple has a new perk for you, at no additional cost.
iCloud+ is the official name for Apple's paid iCloud storage plans, which range from 50GB for $0.99 per month to 12TB for $59.99 per month in the United States. iCloud+ plans already come with multiple perks for free, such as Hide My Email and HomeKit Secure Video, and now there is another one...
Apple hasn't refreshed the Apple TV since 2022, but rumors suggest that we're finally going to get an update in 2025. We don't have a full picture of what to expect yet, but we have some hints on what's coming.
Subscribe to the MacRumors YouTube channel for more videos.
Updated A-Series Chip
The current Apple TV 4K uses the A15 Bionic chip that was in the iPhone 13 lineup, and it's time for...
Apple's next-generation iPhone SE could debut as soon as next week with a launch to follow later in February, reports Bloomberg's Mark Gurman. Apple isn't expected to hold an event for the iPhone SE 4, and will instead unveil the device through a press release.
The iPhone SE 4 is expected to have an iPhone 14-style design, with Apple eliminating the thick bezels and Touch ID Home button of...
Apple is internally testing iOS 18.3.1 for iPhones, according to our website's analytics logs, which have been a consistently reliable indicator of upcoming iOS versions. The software update should be released within the next few weeks.
iOS 18.3.1 should be a minor update that addresses software bugs and/or security vulnerabilities. Apple Intelligence notification summaries for news and...
Apple this week increased the prices for its monthly AppleCare+ subscription prices for the iPhone, raising the cost by 50 cents for all models in the United States.
Standard AppleCare+ for the iPhone 16 models is now priced at $10.49 per month, for example, up from the prior $9.99 per month price. The 50 cent price increase applies to all available AppleCare+ plans for Apple's current...